On January 1, 2020 the Federal Government launched a scheme to assist first home owners to enter the property market with a smaller deposit.
They will assist 10,000 borrowers eligible for the First Home Loan Deposit Scheme to buy a home with as little as a 5% deposit, as opposed to the normal 20%. The government will provide a loan guarantee of up to 15% of the property’s value to individuals earning up to $125,000 or couples earning up to $200,000 per year. The scheme could also save you up to $10,000 in lenders mortgage insurance.
Housing affordability is one of the most challenging economic and social issues faced in Australia; and any government incentives that assist people to enter the market and realise the ‘Great Australian Dream’ of owning their own home, is a step forward to future security as well as a sound investment in capital gain over time.
There is also still the Queensland Government incentive on new homes (or land to build) for $15,000, as well as stamp duty incentives.
Click here to find out more about the Federal Government’s First Home Loan Deposit Scheme.
Click here to find out more about the Queensland Government’s first home buyers incentives.